A huuuuuge part of why companies, especially public companies, especially those in regulated industries like healthcare and finance are willing to pay eye-watering sums of money for a SaaS app that you could get an MVP up in a few weeks time from a competent team with no AI is that they need a phone number to call when something shits the bed at 2 AM on a Wednesday. They need support SLAs without the payroll and headache associated with it. They need someone to sue if things truly go tits up.

Moving SaaS apps in house is a great way for a VP to get a fat bonus or a director to get a promotion but I have to imagine it keeps the CIO/CTO up at night unless they're fully asleep at the switch.

Yep! We sometimes have a choice between the gold-standard and commonly updated open source solution to X and a two-bit hacked together proprietary solution that has 24/7 support at high cost...and we choose the one with support, because that's what our audits basically require. Because then we can say "yes, it's still within the support contract, we have an escalation point".